GSA Contracts

SBA Form 1010 and Form 1010B

2012-01-22T10:34:00.000-08:00

SBA Form 1010 is the form used to apply for the SBA 8(a) Business Development Program. In addition to Form 1010, each person owning 10% or more of the business and each director, management member, partner, and officer needs to complete Form 1010B. These forms provide basic information to the SBA about the business and its owners which the SBA will use to make a preliminary determination of whether the business is eligible for 8a certification. Prior to filling out Form 1010, the applicant company needs to register with Central Contractor Registration, the Dynamic Small Business Search, and a DUNS Number.

Form 1010
Form 1010 requires information about the potential 8a company including the type of business conducted, the date the company was established, the number of company employees, the NAICS code that applies to the company's business, the percentage of revenue the company receives under the NAICS code and information about the company's ownership and management.

Form 1010 also seeks sensitive information about the company like whether the company has ever filed delinquent returns, is past due on its taxes, pending lawsuits, etc.

Form 1010B
Form 1010B is specific to the owners, operators and management of the applying 8a company. Form 1010B requires such individuals to state whether they have declared bankruptcy, sought prior SBA loans, are parties to ongoing lawsuits, tax delinquencies, etc.

GSA CCR Registration

2012-01-20T08:15:00.000-08:00

GSA CCR
The Central Contractor Registration (CCR) system is the gateway for private businesses to obtain contracts with the federal government. A private company must be registered with CCR prior to being awarded any contract, basic agreement, basic ordering agreement, or blanket purchase agreement. This registration is helpful to both the federal government and to the private company. It helps the federal government by creating a single database for all government agencies to find and shop for private companies. It helps private companies by cutting down on redundant paperwork that would be required if the private company wanted to do business with mulitple agencies. It also makes marketing to federal agencies simpler.

DUNS Number
Before you can register with the CCR you will first need to obtain a "DUNS" Number from Dun & Bradstreet. The more popular name for Dun & Bradstreet is D&B. You will need to provide information to D&B about your business that will allow D&B to evaluate the legitimacy of your company. Once D&B determines your business to be legitimate they will issue your company a DUNS Number. Again, you cannot register with the CCR without first obtaining a DUNS Number.

For information on additional requirements for registration with the CCR, read my article Central Contractor Registration.

8a Certification Process

2012-01-19T07:17:00.000-08:00

What is 8a Certification?
8a Certification is the term used for socially or economically disadvantaged businesses who have gone through the application process with the General Services Administration (GSA) and been awarded a GSA schedule contract. Once 8a Certified, the 8a Business is then able to take advantage of any number of contracts which the federal government has mandated can only be fulfilled by 8a businesses. These mandated contracts are known as "Small Business Set Asides." More specifically, "8a Small Business Set Asides."

What is the Difference Between a Small Business Contractor and an 8a Contractor?
An 8a Contractor is a small business that has proven to the GSA it is socially or economically disadvantaged. Most any small American business (whether socially or economically disadvantaged or not) can obtain a GSA schedule contract and be eligible for Small Business Set Asides. These set asides make it easier for the small business to compete against (and work with) much larger companies. In many instances, a larger company is awarded a contract with the contingency that it will hire GSA certified small businesses to fulfill portions of the contract. These larger company contracts are then monitored closely by the GSA to ensure compliance with the small business requirement.

8a Certification is the Tie Breaker
The thing that makes an 8a Certified small business different from a non-8a Certified small business is that there are extra incentives for larger businesses to hire 8a Certified small businesses to fulfill federal government. What it boils down to is that two small businesses competing against each other for a particular government contract and one is 8a Certified and the other is not, the 8a Certified business will most likely get the contract all other things being equal. 8a Certification is the tie breaker.

8a Certification Process
The process for obtaining 8a Certification can be tedious and drawn out if not done correctly from the beginning. One reason for this comes from the way the federal government works. Just like any other business, the federal government would rather deal with people who are familiar with the application process than with people they are going to have to baby sit every step of the way. I have previously written about a client who went through the process of obtaining a GSA schedule on its own. It took 10 months for them to receive their contract award. This process could and should have been significantly quicker if they had retained someone more familiar with the process from the beginning.

Women Owned Small Business Certification

2012-01-19T00:30:00.000-08:00

GSA and SBA Women Owned Small Business Certification
The General Services Administration (GSA) and Small Business Administration (SBA) are federal agencies which have been given the responsibility for assisting Women Owned Small Businesses (WOSB) succeed in obtaining contracts with the federal government. These agencies recognize that traditionally WOSB's have been left out or otherwise overlooked for federal government contracts simply because the WOSB was owned and operated by women. They now seek to level the playing field by setting aside a number of federal contracts specifically for WOSB's. If you own a WOSB you can take advantage of these set asides by becoming certified with the GSA and SBA and obtaining a GSA schedule contract.

To be certified as an Women Owned Small Business, the business must:
(1) Be a small business;
(2) Be at at least 51% percent unconditionally and directly owned and controlled by one or more women (the women must be U.S. citizens);
(3) Have a woman manage the business.

Management by a woman must include making the day-to-day operations and long-term business decisions. A woman must also hold the highest officer position in the business and work at the business full-time during normal working hours.

Economically Disadvantaged Women Owned Small Business
To be certified as an Economically Disadvantaged Women Owned Small Business, in addition to the above the women who own and run the business must be "economically disadvantaged" (i.e. personal net worth of less than $750,000 and an adjusted gross yearly income averaged over the three years preceding the certification less than $350,000. The fair market value of all her assets must also be less than $6 million.

For more on Women Owned Small Business see my article titled "Women Owned Business and the GSA."

Women Owned Business and the GSA

2012-01-18T07:50:00.000-08:00

Federal Contracts Set Aside for Women Owned Businesses
The Federal Government has provided special assistance to Women Owned Small Businesses (WOSB) who want to provide goods or services to Government Agencies. This assistance has come, in part, by instructing Federal contracting officers (i.e. people who purchase goods and services for the Federal government) to specifically limit certain Federal contracts to women-owned small businesses. These limits are known as Women-Owned Small Business "Set Asides." Contracts which are designated by contracting officers as Women-Owned Small Business Set Asides may not be fulfilled by other small or large businesses unless a qualified WOSB cannot be found.

Federal agencies have certain goals they must achieve in finding and assisting WOSB's in obtaining federal contracts. Most agencies use a federal database known as GSA Advantage to find them. In order for a WOSB to appear on the federal database, the WOSB must first be certified through the GSA. Read my post on the GSA Certification process for a better idea of how the process works.

Women Owned Small Business Eligibility Requirements
To be certified as a Women Owned Small Business, a company must be:

at least 51% owned and controlled by one or more women (U.S. citizens) and
primarily managed by one or more women.
“small” in its primary industry in accordance with SBA’s size standards for that industry.

A WOSB may also be determined economically disadvantaged if its owners can demonstrate certain factors set forth by the GSA which amount to an economic disadvantage. A determination of economic disadvantage would merit 8a classification.

What is a GSA Schedule?

2012-01-16T10:45:00.000-08:00

A GSA Schedule is a long-term contract between a private business and the federal government. The Schedule is for an indefinite quantity and an indefinite delivery date. Basically, you provide the GSA with a list of products or services (including prices, delivery terms, warranties, and other terms and conditions) and the GSA determines whether your list meets their criteria. If so, your business is given a GSA contract number and your products are added to the GSA's database known as the GSA Advantage. Government agencies can then use that database to find your products. The purpose for awarding GSA Schedules is to make it easier for the federal government to find and purchase your products or services.

GSA Contracting Process
Private businesses file an application with the General Services Administration (GSA) for a Multiple Award Schedule. Under the Multiple Award Schedule, the private business puts together a list of products or services it wants to sell to the federal government. The GSA reviews the list to determine, among other things, whether the products offered are either made or assembled in the United States. It is GSA's policy that American made products are given priority to products made outside the United States. Once your business is awarded a GSA Schedule Contract it will receive a GSA Contract Number which you will use to sell your products to federal agencies.

How Do Federal Agencies Buy Products Using GSA Schedule Contracts?

Your GSA Schedule Contract Number tells federal agencies that the products you offer under the schedule have been reviewed by GSA and deemed fair, reasonable and in compliance with all applicable laws and regulations. This speeds agency purchasing time because it is not required to individually evaluate each product purchased for responsiveness.

For recurring product and service needs, the GSA has established Blanket Purchase Agreements between federal agencies and GSA Schedule Contract holders.

The GSA has also established Contractor Team Arrangements so that two or more GSA Schedule Contract holders can work together to fulfill an agency's needs.

One of the most popular methods for marketing a Schedule Contract to federal agencies is through GSA Advantage!. GSA Advantage! is an online shopping mall (like Amazon) for federal government agencies to view, compare, and directly purchase products and services available through GSA Schedule Contracts.

What is an 8a Business?

2012-01-12T11:47:00.000-08:00

8a Business
An 8a Business is traditionally a minority or woman owned business which has been certified by the General Services Administration (GSA) as meriting access to certain government contracts which have been "set-aside" by the Federal Government for such businesses. The GSA uses the terms "Socially Disadvantaged" or "Economically Disadvantaged" when referring to the types of businesses which qualify for 8a business certification. A brief discussion of what it means to be "Socially Disadvantaged" or "Economically Disadvantaged" is below.

SBA's 8(a) Business Development Program
The Small Business Administration (SBA) has put together an 8(a) Business Development Program to assist them once they have become certified by the GSA. The SBA has set up a nine year program to assist 8a Businesses participating in the program. The program helps such businesses with the training and product or service marketing they need to be successful in sell to or working with the Federal Government. Admission to the program is given to those 8a Businesses which are unconditionally owned and controlled by a U.S. citizen who is socially or economically disadvantaged and can demonstrate that his, her or their business can be successful if given assistance from the SBA.

Socially Disadvantaged Citizens
GSA has defined the term "socially disadvantaged individual" to mean a person who has been subjected to racial or ethnic prejudice or cultural bias in the United States by virtue of them being members of a particular group. These groups include, but are not limited to, Black Americans, Hispanic Americans, American Indians.

Economically Disadvantaged Citizens
GSA has defined the term "economically disadvantaged" to mean a person whose ability to compete in the free market has been impaired due to a lessened ability to obtain credit or capital when compared with other similarly situated people. Economically disadvantaged people are often in geographic areas where business is scarce.

If you meet either the Socially or Economically disadvantaged criteria, your business may be a candidate for 8a certification.

GSA Schedules: The Application Process

2011-10-30T15:25:00.000-07:00

I thought it might be interesting to my readers to read an actual account of the process first hand from one of my clients. My client Outersports, LLC has graciously written the following about the process:

Outersports' GSA Schedule Application Process
The process, as always when dealing with the government, was long and tedious (it took about 10 months total). It began with filling out the appropriate application. There were a number of potential categories our goods fit under and a corresponding application for each category. If you have a question as to what category your goods or services fit under you should contact a GSA Contract Specialist. Outersports' Contract Specialist was Teresa Hill based in Fort Worth, Texas. At the time she was assigned to the southwestern United States region. She was able to help narrow down the category our goods fell under.

The particular application the goods fell under was about 60 pages long. It required extensive information about Outersports' suppliers (American made products are highly favored), our shipping practices, price lists, references and a background check. Once the application was completed it was submitted to GSA for approval. It is rare that an application is accepted by the GSA without revision. Outersports' application was no exception to the rule.

About two weeks after the application was submitted we received a request from the GSA for revisions to the contract. Do not be surprised if you are required to submit revisions to the application multiple times before it is finally accepted. GSA has several different individuals who review the applications and each individual has his or her own preferences about how a response should be worded. Do not get upset with the GSA specialists. This will most likely lead to your application being rejected as is their right to do if your application has an invalid response to a question. Instead, request that the GSA specialist allow you to just submit revisions to the specific pages of your application that are not completed correctly. This will save you time and money in the long run.

Remember, when the GSA sends you a written request for revisions they will put a deadline for responding to the request. Failure to meet the deadline can result in the application being deemed "Abandoned" and you may be required to start all over again. If you are unable to completely respond to the request within the timeframe set by the GSA contact them for an extension of time. If they agree to grant the extension make sure you confirm it in writing (i.e. "This confirms that you have agreed to grant an extension of time...).

Final Award
In February, 2006, GSA issued Outersports,LLC a final award. Out GSA Contract Number is GS07F9374S. We are now listed on the GSA Advantage website and do very well selling to the federal government.

What is GSA Advantage?

2010-10-30T15:27:00.000-07:00

GSA Advantage is the website used by federal agencies to purchase goods and services from private companies. It is basically where the federal government goes to shop. To be listed on GSA Advantage, a private company must first obtain a GSA Schedule. For more information about obtaining a GSA Schedule for your business check out these articles: GSA Application Process, GSA Opportunities, Small Business Set-Asides

North American Industry Classification System (NAICS)

2006-10-05T11:01:00.001-07:00

If you spend a great deal of time doing business with the Federal government you will certainly run across the term North American Industry Classification System or NAICS.

What is NAICS?
NAICS (pronounced Nakes) was developed by the U.S Office of Management and Budget to be used by Federal statistical agencies in classifying business establishments for the collection, analysis, and publication of statistical data related to the business economy of the U.S. NAICS replaced old Standard Industrial Classification (SIC) system. It was also developed in cooperation with the statistical agencies of Canada and Mexico to establish a 3-country standard that allows for a high level of comparability in business statistics among the three countries. NAICS is the first economic classification system to be constructed based on a single economic concept.

What is an Establishment?
An establishment is generally a business or industrial unit at a single, physical location that produces or distributes goods or performs services (e.g., store, factory, farm, etc.). An enterprise, on the other hand, may consist of more than one location performing the same or different types of economic activities. Each establishment of that enterprise is assigned a NAICS code based on its own primary activity.

GSA: Federal Business Opportunities

2006-09-19T11:04:00.000-07:00

The branch of the GSA known as "Federal Business Opportunities" is the single government point-of-entry for Federal government procurement opportunities over $25,000. Federal Business Opportunities allows Government buyers to publicize their business opportunities by posting information directly to FedBizOpps via the Internet. FedBizOpps will allow your business to search, monitor and retrieve federal business opportunities solicited by the entire Federal contracting community.

However, you cannot provide services or products to Federal Business Opportunities unless you first have a contract schedule. For more information about obtaining a GSA Schedule for your business check out these articles: GSA Application Process, GSA Opportunities, Small Business Set-Asides

GSA: Central Contractor Registration

2006-09-06T11:56:00.000-07:00

Before you can be awarded a GSA contract schedule you will be required to register with Central Contractor Registration (CCR). CCR is the primary vendor database for the U.S. Federal Government. As a current or potential federal government vendor you are required to register your business with CCR in order to be awarded contracts by the federal government. The registration will require you to provide CCR basic information about your business’ procurement procedures and financial viability. Once registered, you must update or renew your business’ registration at least once per year to maintain an active status.

Once you have registered with CCR, CCR will validate the information you have provided about your business and then electronically share the secure and encrypted data with the federal agencies’ finance offices to facilitate paperless payments through electronic funds transfer (EFT). GSA CCR also shares the data with federal government procurement and electronic business systems.

Information Need Prior to Registration
Prior to registration you will need to: (1) obtain a DUNS number; (2) if applicable, a DUNS +4 number; (3) obtain a Commercial and Government Entity (CAGE) Code; (4) a Federal Tax Identification Number; and (5) a Legal Business Name and Doing Business As Name.

GSA:Temporary Price Reductions

2006-08-29T12:35:00.000-07:00

One frequently asked question regarding GSA contracts is “what paperwork does a business need to file to adjust its price list?” Assuming your business already has a GSA contract, the answer will depend on whether you need to make a price increase or decrease and whether the adjustment is temporary or permanent.

This post deals with temporary price decreases. Future posts will deal with price increases and permanent price decreases.

Temporary Price Decrease
One common scenario justifying a temporary price decrease is when a business overproduces a product and needs to sell the product at a lower price to reduce overhead. Your GSA contract will allow you to temporarily reduce your prices without filing any paperwork. To do this, you simply go to the GSA Advantage website and follow the instructions for temporary price decreases. The process should not take more than five (5) or ten (10) minutes (depending on you computer skills) and will show up online within twenty four (24) hours.

GSA: Procurement Classification Codes

2006-08-21T12:08:00.000-07:00

Before you apply for your GSA Schedule Contract you must first determine what classification your product or service falls under. I have included a list of GSA's product and service classification code numbers and descriptions below.

Classification Code Numbers and Descriptions
10 --Weapons
11 -- Nuclear ordnance
12 -- Fire control equipment
13 -- Ammunition & explosives

14 -- Guided missiles
15 -- Aircraft & airframe structural components
16 -- Aircraft components & accessories
17 -- Aircraft launching, landing & ground handling equipment
18 -- Space vehicles
19 -- Ships, small craft, pontoons & floating docks
20 -- Ship and marine equipment
22 -- Railway equipment
23 -- Ground effects vehicles, motor vehicles, trailers & cycles
24 -- Tractors
25 -- Vehicular equipment components
26 -- Tires and tubes
28 -- Engines, turbines & components
29 -- Engine accessories
30 -- Mechanical power transmission equipment
31 -- Bearings
32 -- Woodworking machinery and equipment
34 -- Metalworking machinery
35 -- Service and trade equipment
36 -- Special industry machinery
37 -- Agricultural machinery & equipment
38 -- Construction, mining, excavating & highway maintenance equipment
39 -- Materials handling equipment
40 -- Rope, cable, chain & fittings
41 -- Refrigeration, air-conditioning & air circulating equipment
42 -- Fire fighting, rescue & safety equipment
43 -- Pumps & compressors
44 -- Furnace, steam plant &amp;amp;amp;amp;amp;amp;amp; drying equipment; & nuclear reactors
45 -- Plumbing, heating, & sanitation equipment
46 -- Water purification & sewage treatment equipment
47 -- Pipe, tubing, hose & fittings
48 -- Valves
49 -- Maintenance & repair shop equipment
51 -- Hand tools
52 -- Measuring tools
53 -- Hardware & abrasives
54 -- Prefabricated structures and scaffolding
55 -- Lumber, millwork, plywood & veneer
56 -- Construction & building materials
58 -- Communication, detection, & coherent radiation equipment
59 -- Electrical and electronic equipment components
60 -- Fiber optics materials, components, assemblies & accessories
61 -- Electric wire & power & distribution equipment
62 -- Lighting fixtures & lamps
63 -- Alarm, signal & security detection equipment
65 -- Medical, dental & veterinary equipment & supplies
66 -- Instruments & laboratory equipment
67 -- Photographic equipment
68 -- Chemicals & chemical products
69 -- Training aids & devices
70 -- General purpose information technology equipment
71 -- Furniture
72 -- Household & commercial furnishings & appliances
73 -- Food preparation and serving equipment
74 -- Office machines, text processing systems & visible record equipment
75 -- Office supplies and devices
76 -- Books, maps & other publications
77 -- Musical instruments, phonographs & home-type radios
78 -- Recreational & athletic equipment
79 -- Cleaning equipment and supplies
80 -- Brushes, paints, sealers & adhesives
81 -- Containers, packaging, & packing supplies
83 -- Textiles, leather, furs, apparel & shoe findings, tents & flags
84 -- Clothing, individual equipment & insignia
85 -- Toiletries
87 -- Agricultural supplies
88 -- Live animals
89 -- Subsistence
91 -- Fuels, lubricants, oils & waxes
93 -- Nonmetallic fabricated materials
94 -- Nonmetallic crude materials
95 -- Metal bars, sheets & shapes
96 -- Ores, minerals & their primary products
99 -- Miscellaneous

GSA: What is A DUNS Number?

2006-08-10T12:03:00.000-07:00

If you are new to GSA contracting, you may have heard of a Data Universal Numbering System or "DUNS" Number but don't know what it is. The following is an explanation of a DUNS Number in layman's terms:

A Brief History
Some years ago a company called Dun & Bradstreet (D&B) came up with a system for determining the creditworthiness of individual businesses. The system requires a company trying to establish a good credit rating to register with D&B. The registration process requires your company to provide information related to your company's size, location, number of years in business, cash flow, capital, etc.

Your company's information is then placed in D&B's database and the company assigned a DUNS Number. The information you provide regarding your company is used to create a credit profile for the company.

The DUNS Number itself is used by D&B, SBA, GSA CCR and a number of other agencies to identify your company. The number may be aptly analogous to a Federal Employer Identification Number or Social Security Number. Using your DUNS Number, the GSA can review your credit history as reported by D&B.

DUNS Number Required
If you wish to participate in the GSA Schedules program you are required to have a DUNS Number. You may obtain a DUNS Number by filling out the paperwork yourself and submitting it to D&B.

As a result of obtaining a DUNS Number, you might be included on D&B's marketing list that is sold to other companies. If you do not want your name or company name included on this marketing list, you will need to contact D&B to request your company's name be removed.

GSA: What Is An 8(a) Contractor?

2006-08-01T17:37:00.000-07:00

The U.S. General Services Administration, or GSA, is the arm of the federal government that helps federal agencies find and contract with private companies like yours. The way it basically works is you get your business registered with the GSA and then the GSA adds your business information to a google-type searchable website that federal agencies use to find suppliers. Federal agencies are constantly searching this website looking for small businesses that can supply what the agency is looking for. You can also use the website to find potential federal agency customers and market to those customers. But you have to be registered with the GSA first.

8(a) Contractors

One of the GSA's goals is to help small businesses like yours sell to the federal government by leveling the playing field against your larger competitors. One way the GSA accomplishes the goal of leveling the playing field is by setting aside a number of federal projects and purchases (called procurements) that can only be performed by what are called "8(a) Contractors." An 8(a) Contractor is a business that is either minority or woman owned (usually at least 51% ownership). These set asides require all federal agencies to contract with a certain number of 8(a) Contractors each year. The term 8(a) refers to Section 8(a) of the Federal Small Business Act related to assisting minority and woman owned businesses in obtaining federal procurements.

To take advantage of the 8(a) Contractor program, a small business must be registered with the Small Business Administration, as well as the GSA. This process can be lengthy and difficult if you are not familiar with it and you will likely need assistance with the process. There is a great deal of paperwork required to obtain 8(a) status, but the reward can be that your business is placed in a relatively small pool of businesses entitled to federal GSA procurement set-asides. An 8(a) Contractor who can meet a procurement need is like gold to a federal contracting agent.

GSA: Service Disabled Veteran Owned Small Businesses

2006-07-27T14:00:00.000-07:00

Everyone repeat after me: "Service-Disabled Veteran-Owned Small Business." Okay, so its not something you would be able to repeat five times real fast. But to those who own businesses that qualify for the SDVOSB set asides the term can be a lucrative one.

GSA Schedules and Your SDVOSB
Did you know that federal agencies are required to set aside certain funds to be spent specifically on projects performed by Service-Disabled Veteran-Owned Small Businesses? You may also know that in years past federal agencies were often forced to scramble around looking for SDVOSB's to satisfy the set aside requirements. Often times agencies were unable to meet the set aside requirements and were penalized. The GSA Multiple Award Schedule is designed to make it easier on federal agencies to find and contract with SDVOSB's and, thereby, avoid being penalized.

How Does A GSA Schedule Help SDVOSB's?
With the growing popularity of the GSA Schedule, a large number of SDVOSB set asides are now awarded through the GSA Schedule process. This means that those SDVOSB's that have a Schedule Contract are able to take advantage of the monetary set asides while those business that do not have a Schedule are left out.

When a federal agency places an order under a GSA Schedule, the order is credited toward the ordering agency’s small business goals (including service-disabled veteran-owned small business goals).

Other GSA Schedule Set Asides
Federal agencies may receive credit under GSA Schedules when they contract with veteran-owned small businesses, HUBZone small businesses, women-owned small businesses, and small disadvantaged business schedule contractors.

GSA: Contracts Online

2006-07-26T12:45:00.000-07:00

One of GSA's goals is to provide its customers (i.e. governmental agencies) immediate online access to specific contract terms and conditions for each contractor and schedule. In a phrase, "Let's get it out there for all to see." No longer are contactors able to ignore contract provisions feeling comfortable that most of the agencies can be kept ignorant to the terms of the contract.

Contracts Online
GSA calls its new online contractor/schedule search website, appropriately enough, "Contracts Online." Contracts Online was developed to provide governmental agencies on hand schedule contract information when performing market research and placing orders. The website makes comparing one contractor/schedule to another fast and simple.

The information contained in Contracts Online can ensure governmental agencies are in compliance with the terms and conditions of the schedule contracts. Contracts Online is the result of a collaborative effort between GSA and the Department of Defense (DOD). Together GSA and DOD have teamed up to ensure proper use of GSA contracting methods in an effort to help agencies “get it right” when purchasing products and services.

GSA: Contractors May Accept Payment Via Credit Cards

2006-07-24T13:58:00.000-07:00

In the olden days getting paid on a government contract was slow and full of red tape. First you submit a bid, then you wait to see if you are the lowest responsible bidder, then you start work, then you submit your pay request, then the agency has you submit your lien release, then if all of your paperwork is correct you receive a check for your work (now nearly a month past the time the work was initially performed). If the paperwork is not correct, good luck getting paid anytime soon.

Governmentwide Commercial Purchase Card
But to those Contractors with GSA Schedules the payment procedures have been pushed into the fast lane. No longer do they have to deal with their subcontractors fussing about slow payment. No longer do they have to submit and resubmit pay requests. Instead, through the use of the new Governmentwide Commercial Purchase Card, payment is made almost as soon as the goods or services are delivered.

A Governmentwide Commercial Purchase Card is a credit card issued to individual government employees or agencies. The credit card can be used by these individuals or agencies to make numerous official government purchases. Credit card purchases are not limited to smaller amounts but may be used for almost any amount of purchase the agency and contractor agree to.

Goods or Services Delivered First
As with almost every government contract, the contractor must first deliver the purchased goods or services prior to processing a transaction for payment through the credit card clearinghouse. Also, unless the cardholder requests correction or replacement of a defective or faulty item in accordance with other contract requirements, the contractor shall immediately credit a cardholder's account for items returned as defective or faulty.

GSA: Hurricane Relief

2006-07-20T11:59:00.000-07:00

My brother-in-law and sister-in-law own a home in Navarre, Florida. For those of you not from the Florida Panhandle, Navarre is located on the western end of North Florida where two years ago Hurricanes Frances and Ivan paid a visit. Now almost two years later reconstruction continues. If I had to guess, I would say it will be at least another year or so before the Florida Panhandle coastline is back to normal.

I also spent a few weeks last year in Mississippi and Louisiana after Hurricane Katrina barreled through. There is no telling how long it will take to get the mess cleaned up in those states.

GSA Small Business Hurricane Relief Opportunities
Why do I mention the hurricanes? Because the GSA has chosen July and August to spotlight the numerous opportunities for small and local businesses along the Gulf Coast to obtain work from the federal government. These opportunities include work both during and after natural disasters. We have been told that this year could be as bad (if not worse) for hurricanes as the last two years. If your business provides goods or services that can be used for hurricane relief you need to have a GSA Schedule today.

With the GSA’s focus on contracting with small businesses for hurricane relief work it is imperative that your business obtain a GSA Schedule now. There was a Disaster Outreach Conference held in New Orleans on July 18. That Conference focused on the continuing recovery efforts and on who will provide future goods or services for those efforts.

GSA: What is A Small Business Set Aside?

2006-07-19T05:42:00.000-07:00

Do you own a Small Business? Although your business may not seem small to you, it may be entitled to “Small Business” set asides from the Federal Small Business Administration (SBA). Consider the following:

A Brief History
In 1985, Congress enacted the “Small Business Act” to aid small businesses in obtaining contracts with the federal government. One of the major concerns sought to be remedied under the Act was the lack of competition created by large businesses squeezing smaller businesses out of government contracts. Congress was concerned that squeezing out small businesses has a negative overall effect on the U.S. economy. As a result, the Act mandated that a large amount of government contacts and funds be set aside for "Small Businesses." The SBA was assigned to regulate the Act.

Definition of Small Business
As with most federal and state statutes, you might be surprised at how the Act defines certain words or phrases. For instance, according to the Act, a small business concern is "one that is independently owned and operated and which is not dominant in its field of operation." The definition can be broad and may include businesses you and I would not normally consider “small businesses.”

In determining what constitutes a “Small Business,” the definition varies from industry to industry. The reason for the variance is because some industries are larger than others. For instance, suppose my business has 300 employees, grosses $10 million per year and corners the market in harvesting and selling Florida Lobster. My business may be excluded from the designation of “Small Business” given it is the largest in its industry.

However, if my business had the same number of employees and gross earnings but instead competed in the automobile industry it would probably fall under the category of “Small Business.” The SBA has established a table of size standards, matched to the North American Industry Classification System (NAICS) industries. These tables can be used to determine whether your business qualifies as a “Small Business.”

Federal Agencies Must Comply With The SBA
All federal agencies must use SBA's size standards to determine whether a business qualifies as a “Small Business” for Federal Government contracting purposes. Agencies must also use SBA's size standards for their other programs and regulations, unless they are authorized by Federal statute to use something else.

GSA: $260 Million Spent On Outdoor Maintenance Equipment In 2006

2006-07-18T05:42:00.000-07:00

So far in 2006, GSA has reported that the federal government has spent more than $260 million on outdoor maintenance equipment and related accessories. The figures are reported by the GSA under Schedule Number 51 V which contains a variety of subcategories.

Subcategories of Equipment Purchased Through GSA
Some of the subcategories for which the $260 million has been spent include purchasing (1) appliances such as refrigerators, microwave ovens, washing machines, etc.; (2) flooring, fencing, hardware and building materials; (3) lawn and garden equipment such as lawn mowers, tractors, chainsaws, etc.; and (4) power tools (drills, grinders and routers) and non-power tools (hammers, screw drivers, etc.).

Small Business Set Asides
If you own a small hardware store or are interested in growing your mid-sized business, a GSA contract (Schedule 51 V) can help. The federal government mandated that a substantial portion of the $260 million be set aside for small and disadvantaged businesses. Those small and disadvantaged business that have already obtained a GSA contract were able to take advantage of the set aside and grow their businesses.

In the upcoming weeks I will go into more detail about how your business can qualify for a federal government contract as a small business.

What is the GSA?

2006-07-17T09:00:00.000-07:00

In layman's terms, the General Services Administration (or GSA for short) is the federal government's newly created centralized purchasing department. The GSA was created to (1) save the federal government money by setting up a one stop shop for government agencies to purchase your company's goods and services; and (2) speed up the contracting process between the government and your company.

A Little Background
As you may know, for most of our nation's history the federal government's different agencies have been responsible for their own purchasing policies and programs. This meant that each agency had to track down the product it wanted to purchase, negotiate terms for each purchase and pay for the purchase through a complex system of individual vendor background checks and approvals. The process was time consuming and difficult. When a vendor was finally approved, the vendor ended up with a monopoly (for that agency anyway) because purchasing agents didn't want to go back through the approval process again with a different vendor.

In addition, the process also meant that different agencies paid different prices for the same products. Some agencies purchased in larger volumes and were offered lower prices per unit while other agencies purchased smaller volumes and paid much more per unit. You may recall the public outcry back in the early 90s when it was discovered the military paid several hundred dollars for a hammer it could have bought at Lowe's for $10.99. The GSA is intended to remedy that type of spending and open up the purchasing process to more vendors.

GSA Has Simplified The Purchasing Process
Today, almost all government agencies use the GSA to purchase goods and services. The GSA has created a centralized website for government agencies to shop for the products and services you sell. The website is easy for agencies to use and contains almost every product on the market today, including the products your company sells. With that in mind, why is your company not on the website? Why are other companies that sell your same products and services getting all of the government's business?

The questions are only partially rhetorical. The real answer to the above questions is that the difficulty for selling to the government has been shifted to your company and away from government agencies. Now your company is responsible for registering your products to be included in the catalog. This process is full of legal traps and difficulties.

GSA: Over $200 Billion Awarded Annually For Goods and Services

2006-07-14T15:28:00.000-07:00

Did you know that the Executive Branch of the Federal Government spends more than $200 billion on goods and services each year? And that is just the executive branch. If that is not enough to get you thinking about obtaining a GSA Contract, consider the following:

In 2005, the Federal Government paid businesses just like yours the following amounts:

(1) for building and related materials - $530,000,000;

(2) for furniture supplies - $1,500,000,000 (that's 1.5 billion);

(3) for technology software and services - $16,500,000,000 (that's 16 billion);

(4) for recreation and apparel - $400,000,000.

These figures are provided by the Federal Government here. And this is just the tip of the iceberg. There are hundreds of other categories for your business to choose from.

Did you also know that a great deal of these funds are set aside for small businesses just like yours? That's right. The Federal Government requires that a substantial amount of these funds be spent in contracts with Small Businesses, Minority Owned Businesses, Women Owned Businesses and Veteran Owned Businesses.

This Blog is dedicated to helping you obtain and understand your GSA Contract.

Downloading The Solicitation Files for Your GSA Schedule

2006-05-26T09:09:00.000-07:00

Once you are sure of which GSA Schedule your contracted products will be offered under, you will need to download the appropriate files to prepare and submit. Finding them on the GSA website can be rather frustrating. Here is the path from their home page to the GSA Schedule Solicitations page where you will find links to each of the GSA Schedules: Home > About GSA > Acquisition Solutions > Schedules > For Vendors - Getting on Schedule > GSA Schedule Solicitations . I have provided the full path so that you can see what directory the GSA lists this information under. You will need click on the last link:GSA Schedule Solicitations . Find your particular schedule on this page.

To download the solicitation, you will need to click on the solicitation link and not the schedule link. This can be found in the middle column and is a series of letters, numbers and dashes such as: 7FCI-L3-03-0084-B. The solicitation page should have the solicitation number listed just below the corresponding schedule. Here you will need to download all of the files that relate to your products. I would recommend downloading the very first file and reading it first. It is usually titled All-Read Me First for some reason. The READ ME file will guide you in selecting the appropriate files to download for your specific offer. If you are still unclear on which files you need to download and prepare, contact the contracting officer listed at the top of the solicitation page. The contracting officer's name, phone number and email are all listed in the box under the solicitation number at the top of the page. Many times there are more than one contracting officer for a solicitation that you can contact. I would recommend emailing all of them if you cannot reach any of them by phone.

Once you have downloaded the appropriate files, I would highly advise you to do as the GSA recommends and print all of the files out and organize them in a three ring binder with dividers. You might be inclinded to skip this step because of the number of pages you will have to print, but trust me here. You will thank me for this advice later. It is much easier to keep track of your revisions by marking it on paper than it will be in digital form. I also recommend placing a sticky note next to each of the revisions you make so that it will be easier to find later. The revisions that I'm talking about take place after you have submitted you completed solicitation to your contracting officer. In the process of completing and receiving our GSA contract award, we were required to make around a hundred different revisions. As your contracting officer makes these requests, you have to revise each part that is required and then fax it back to the officer within a specific time frame(usually around 5 days). So, go ahead and print it all out and organize it in a binder. The more organized you are, the easier this will be.

Schedules E-Library

2006-05-25T11:20:00.000-07:00

Before you can do anything with the GSA, you will need to first find out what schedule you will need to submit your products under. To do this, you go to the GSA website. By the way, GSA stands for General Services Administration. The website url is www.gsa.gov . On their home page you will see a list of arrows down the left hand side. The second arrow points to "GSA Contracts and Schedules." It is under this heading that you will find "Schedules e-library." Click on the link to take you to the "Schedules e-library." On this page, you will see a graphic on the right hand side that is a screen shot of the Schedules e-library site. Don't ask me why it takes this many steps to get there from the GSA home page. You'll learn not to ask silly questions like that once you really get started on your GSA schedule.

Now, once you are on this page, you will see a search box just below the welcome message near the top of the page. This is where you will type in your product name or a description of your product. In my case, I wanted to sell polypropylene underwear. After running the search, schedule 84 returned by the search engine. Sometimes, the search engine will return more than one schedule. If you cannot decide which schedule to choose, you can click on one of the schedules. At the top of the schedule page, you will find the contact information for the contracting officer for that particular schedule. You can then call or email them with the description of your product and they will help you select the right schedule. When I did mine, I found that emailing my contracting officer was the most effective way to reach her. I rarely got a response or a call back over the phone. But that was just my experience with my contracting officer. Now that you know what schedule you product will fall under, you will need to download the contract information to fill out. I will explain that in detail in my next post.

Got a GSA Schedule?

2006-05-08T06:39:00.000-07:00

So you already know that there is good money to be made selling to the U.S. Government, right? You want to know how to get in on all of that easy cash, but you don't know where to start. Well, to be a part of the market selling to the government, you need to have a GSA Schedule. You probably already get an inbox full of emails from companies wanting to charge you a years salary to set complete your schedule for you. If you are a small business, you can't afford to invest your hard earned profits only to pad another companies pockets. It is possible to complete all of the paperwork yourself. You just need to know where to start and what resources to turn to when you have questions.

Now, over the coarse of this blog, we'll show you where to start and who to take your questions to. But first, I will tell you right out front that obtaining a GSA Schedule requires some patience. There are a series of approval processes for your schedule that can take some time to complete. But, hang in there. The benefits of having a GSA Schedule are definitely worth the time it takes to complete your schedule and receive your contract award.